Paul Mueller shows steep 1Q growth

Net sales for the quarter were $49.5 million, up 94 percent from $25.5 million in first-quarter 2006. Gross profit was $8.5 million, a 73 percent increase from $4.9 million a year ago.

Operating income posted strong growth, reaching $2.8 million, compared to a loss of $45,000 in first-quarter 2006.

Net income for the quarter was $1.9 million, up from $147,000 a year ago, while diluted earnings per share were $1.61, up from 13 cents a year ago but down from $5.12 in fourth-quarter 2006.

Total assets as of March 31 were $117.6 million, and the company had a $160.5 million backlog.

Company shares (OTC: MUEL.PK) closed Thursday at $49.50, compared to a 52-week range of $34.50 to $50.

In other Paul Mueller news, the company on April 23 signed a new three-year agreement with the Sheet Metal Workers Labor Union Local 208. The contract includes wage increases, improved benefits and "provisions that the company expects will help it to achieve better utilization of manpower," according to a company news release.

Paul Mueller Director of Human Resources Mike Young would not comment on specifics of the agreement, and a representative from the union could not be reached.

The local union represents approximately 700 of Paul Mueller's 1,200 employees, according to Young. The remaining employees are nonunion.[[In-content Ad]]